It has been a busy summer for activist hedge fund Elliott Investment Management.
Just this week it emerged that the $56 billion hedge fund has a roughly 3.7% stake in
Aerojet Rocketdyne Holdings
(AJRD) and that it sold much of its long held stake in
Elliott’s intentions for Aerojet weren’t immediately known as its position in the company was revealed in a quarterly regulatory filing, and the size of its stake may have changed since the closing of the second quarter. That said, Elliott has a history of investing in the defense sector. It partnered last year with private-equity firm Veritas Capital to acquire Cubic, a defense and transportation company. Elliott also made a bid on defense electronics manufacturer
(MRCY) earlier this year.
Aerojet shares gained more than 3% on Tuesday.
Elliott sold most of its stake in the Japanese conglomerate after losing faith in its founder Masayoshi Son, according to the Financial Times, which first reported news of Elliott’s exit. Elliott had amassed as much of $2.5 billion worth of SoftBank shares more than two years ago on the hopes that SoftBank could narrow the gap between the value of its holdings and its market capitalization. The hedge fund reportedly was pushing for more buybacks at the company.
Elliott declined to comment on its recent moves.
The hedge fund has long been one of the more prolific activists and frequently targets tech and defense companies. In July, it emerged that Elliott has a more than 9% stake in
The Wall Street Journal reported Monday that Elliott holds a large position in Cardinal Health and nominated five directors to the company’s 11-person board.
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